A Colorado company that has agreed to buy a 52.6-acre property in Freetown from the brewer of Samuel Adams beer for a medical marijuana-growing operation is seeking investors to fund the acquisition.
AmeriCann Inc. said it’s hired Greenwood Village, Colorado-based investment bank GVC Capital LLC to offer $5 million worth of convertible notes.
AmeriCann agreed to buy the undeveloped property from Boston Beer Co. last year for $4.2 million as the future home to the Massachusetts Medical Cannabis Center. The Samuel Adams parent had once considered building a brewery on the Campanelli Drive site. The closing date has been extended several times.
Licensed dispensary Coastal Compassion would be the sole tenant of a 130,000-square-foot facility on the site, AmeriCann CEO Tim Keogh said. AmeriCann is in talks with potential tenants for a second cultivation building as large as 360,000 square feet, he said.
“The scale of the infrastructure has been well-received by the pool of applicants that are trying to find homes for cultivation and processing in the commonwealth,” Keogh said.
Since Massachusetts voters approved medical marijuana in 2012, dispensaries have opened in Ayer, Brockton, Brookline, Lowell, Northampton and Salem. The law allows up to 35 statewide, subject to state and local approval.
Coastal Compassion received state Department of Public Health approval in 2014 to open a 10,000-square-foot medical marijuana dispensary at an Alden Road office building in Fairhaven. The occupancy date is January 2017, following an interior retrofit, Keogh said.
The private offering is available to accredited investors at a minimum investment of $25,000. Investors will receive secured convertible promissory notes with a 9.5 percent annual interest rate and 36-month maturity, secured by a first lien on the Freetown property. They also would be able to convert their investment into shares of AmeriCann common stock, subject to certain price targets and trading volumes.
The company’s stock was most recently trading at 0.89 on the over-the-counter markets.
